Average real estate prices in Dubai increased by almost 17% in 2021

Average real estate prices in Dubai have increased by almost 17% during 2021, which is a record since 2014. According to the ValuStrat price index, the monthly capital gain of villas in Dubai was 2.5%, while the increase in apartment prices was slightly less than 1%.

However, the valuation-based index, which covers Dubai's residential real estate market, was only 1.3% higher than in the same period in 2019, after the market plummeted in 2020 due to the effects of the global pandemic.

On Wednesday, a new report released by the Dubai Land Department (DLD) showed that 84,772 transactions worth 300 billion dirhams ($81 billion) were registered in the Dubai real estate market in 2021. With the support of government economic stimulus packages and the Emirate hosting Expo-2020 in Dubai, the sector continued to attract investors from all over the world.

In December, 17 deals worth more than 30 million dirhams of the UAE were made, while one such deal with a villa located in Jumeirah Bay Island was sold for 92 million dirhams of the UAE.

The sales leaders in December were objects developed by Emaar (24.9%), Damac (10%), Nakheel (5.4%), Sobha (4.8%), Dubai Properties (4.6%) and Danube (3%).